The Japanese brand is so popular here, it is synonymous with motorcycles
Post-World War II, Japan saw the rise of many industries. Among those, Honda was one of the prominent ones. Since its early days, Honda had its global reach; likewise, it had a very far-reaching dominance in Bangladesh for decades.
The rising popularity of the brand led to the introduction of Bangladesh Honda Private Limited (BHL). It operates in a single industry segment in Bangladesh under a joint venture between Honda Motor Company Limited, Japan, and Bangladesh Steel and Engineering Corporation (State Own Corporation) under The Ministry of Industry, The Peoples Republic of Bangladesh. To meet the industry demand, Honda Bangladesh Limited (BHL) set up a 25 acres plant in Abdul Monem Economic Zone (AMEZ) in Munshiganj, which costs around Tk 230 crore. So far, Honda has invested about Tk 3 billion in the two-wheeler automotive segment.
Honda was quick to grab a considerable share of the country's rising motorcycle industry. The synonym of motorcycles, Honda, became widely known and adored by dedicated patrons. With the rise in demand for motorbikes for an emerging economy like Bangladesh, Honda plays a notable role through its local manufacturing plant. The plant helps with the rising demand for motorbikes, but it also contributes to its economic growth.
Not to say, it also creates hundreds of jobs and opens the opportunity for hundreds of more in the future. Due to a local factory's presence, a significant portion of the tax has also been waved from the unit motorcycle price. This made quality machines more affordable for the consumers. The only downside being, Honda only manufactures selected commuter segment motorcycles in their factory. So the price for other high-end high-demand motorbikes remains the same.
Bangladesh plans to become a middle-income country and is on track for graduation in 2024. Bangladesh's total GDP is now well over $300 billion; the country is an emerging marketplace. Prominent global brands like Honda opens the door for more economic development. Stay tuned with MotorAid Bangladesh and keep following us as we go deeper into Honda, the motorcycle industry, and the active community.
This article was originally published by MotorAid. It is being published under special arrangement with Dhaka Tribune